Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

In this list
Oil

Why the oil market is wrong about Abqaiq

Commodities | Energy | Electric Power | Nuclear | LNG | Natural Gas | Natural Gas (European) | Oil | Crude Oil | Refined Products | Jet Fuel | Coronavirus

Market Movers Europe, Nov 23-27: Fuel demand sees hope in vaccine, as continent endures power surplus

Oil

Platts Market Data – Oil

Electric Power | Renewables | LNG | Infrastructure Utilities

Caribbean Energy Conference, 21st

Natural Gas

Demand uncertainty caps gains in Asian LNG spot prices

Natural Gas | Oil

Fuel for Thought: Argentina puts fresh focus on developing Vaca Muerta, but concerns abound

Listen: Why the oil market is wrong about Abqaiq

A week after attacks on Saudi oil facilities shut down nearly 6% of the global oil supply, Brent futures prices are up less than $5/b. The market reaction has been wrong, though, giving Saudi estimates that output will quickly return far too much credibility and significantly undervaluing an increase in geopolitical risk, says Amy Myers Jaffe, a longtime market and policy expert.

Jaffe believes that the market should be far more skeptical of Saudi claims on output recovery and needs to brace for more frequent and more substantial attacks on Middle East oil supply. The attack on the Saudi's Abqaiq oil facility was once thought of as "unthinkable,” she said. Now, disruptions of massive amounts of supply in Saudi Arabia, Iraq, the UAE and Kuwait are increasingly possible, she said.

Much of the Middle East's oil supply, Jaffe believes, is now a hostage in a conflict with no clear end.

Jaffe is the David M. Rubenstein senior fellow for energy and the environment and director of the program on Energy Security and Climate Change at the Council on Foreign Relations.